faulker046

The purpose of this post is to clarify the terms CPM and CPC and also show how to convert from one model to the other. CPM CPM stands for Cost per 1000 Impressions (number of times the ad is shown) (M is Roman numeral for 1000). Generally display advertising (e.g. banners) is sold in CPM. If the ad is shown 1000 times the cost will be equal to 1 CPM price. For example, if a publisher charges $10 CPM, that means your ad will be shown 1000 times for $10. If your budget is say $10,000 then mean your ad will be shown 1,000,000 times ($10,000 *(1000/$10) ). Total Impressions = (Total Cost or Budget) * (1000/CPM) If you are trying to find out how much you will pay for a given number of impressions then you can use the following formula Total Cost = (Total Impressions * CPM)/1000 If you notice in the above calculations, there are no mentions of how many people the ad will be shown to or how many clicks will be generated. CPM advertising is solely based on impressions. In theory if you d...

I hope you have heard the famous words of John Wanamaker "I know half of my advertising is wasted, I just don't know which half." Today the phrase should be something like “Half my Advertising is wasted because I do not advertise responsibly” or “Half of my advertising is wasted; I can stop that but I fail to use the data”. Yes that is correct. We have an abundance of data today to help us save the wastage. There is no shortage of tools that will collect all sorts of data. Yet many marketers fail to act responsibly and use this data to stop advertising waste and also save customers from unwanted ads. Here are some examples that will show you what I mean Newsletter – Nordstrom - In my blog post on email and relevance , I showed an example of an email from Nordstrom that had irrelevant offers. As result of this, not only did Nordstrom waste time, effort and money but also lost a subscriber. Advertising was wasted. Newsletter – Drugstors.com – Same as Nordstrom. Not only d...

At OMMA Global, this week, I attend a panel titled “Behavioral Advertising Partners: Choosing Wisely”. The panel was moderated by Brian Massey, of ClickZ and the panelists were Joe Apprendi, Founder and CEO, Collective Media Richard Frankel, President, Rocket Fuel Inc. Jeff Hirsch, President & CEO, Audience Science (formerly Revenue Science) Nancy Marzouk, VP Media Sales, x+1 Dave Zinman, VP and GM Display Advertising, Yahoo Panelist were asked to come up with one question that the advertiser must ask before making a decision about which networks to use for their Behavioral Targeting campaigns. Here are the 5 questions that they came up with: Where are my ads going to run? How am I going to achieve my goals? What data is going to be used for Targeting? What is fundamentally different about what your company does as compared to other networks? Why should I be spending my time with various networks, what do they do different? It was clear that the onus is on the advertiser to dig in ...

Visitors go to search engines because they are looking for something. They enter their search query and want the search engine to provide relevant results. Marketers buy Paid Search listings because they want to cash in on visitors searches by providing relevant product/services/offers etc. Remember, users are looking for results and not another set of search boxes or additional navigation to get to what they want. It is marketers’ responsibility to make sure the offers shown on their landing pages are relevant to the search keyword that the user searched for. DON’T make the visitors search again. Provide the user with relevant results right away. Don’t make people click more buttons or links to find what they are looking for. You are wasting your money if you are doing PPC without thinking about the experience visitors will get once they click on the ad and land on your site. Landing pages are very critical to the success of any kind of advertising, but are even more critical in searc...

Burger King recently launched a TV ad that directed visitors to WhopperVirgins.com. I learned about this on AdAge.com which wote: “What if you don't remember the exact Web address and Google it? You still better remember the domain name. While WhopperVirgins.com ranks first in Google for "whopper virgins," it's invisible when you omit the plural. “ AdAge writes further: ”This is a major missed opportunity. Google Trends shows that recently, the volume of searches for the singular and plural versions have been nearly equal. "Whopper virgin" searchers must either go to an intermediary site or refine their search. Why can't consumers 'have it their way' and get to Burger King's site even if they're off by a letter? This multimillion-dollar branding campaign could have covered all its bases with a $10,000 search marketing investment. As it stands now, Burger King risks frustrating consumers instead of serving up one whopper of a video.” AdAg...

eMartker reports the results of 2 surveys which show that users are multi-tasking when using the internet. Few things to think about: Are consumers watching your video ads when they are already watching TV? Are consumers reading all the text in your ads when they are already reading bunch of other stuff? Are consumer paying attention to TV and Print ads when they are surfing web as well? Are consumers really watching any of your ads? Marketers have to really work hard to cut though all the noise and make their ads stand out to grab consumers attention. ---------------------------------------------------------------------------- Looking to fill your Web Analytics or Online Marketing position? Post your open jobs on http://www.web-analytics-jobs.com/ Latest Position: Director, Analytics at Resource Interactive (Columbus, OH) ---------------------------------------------------------------------------- Site: AnilBatra.com Twitter: http://www.twitter.com/anilbatra

Social Networking sites are used by millions of people around the work and thousands of new users are jumping on social networking sites every day. Almost all of these social networking sites and new entrants are dependent on the advertising to generate the revenue to keep them going. However, a study by BurstMedia shows that consumers have a very low tolerance for online ads . 52.6% of those surveyed accepted that advertising will appear on a web page but they had very low tolerance for more than 2 advertising units per web page. 29.9% of survey respondents said that they will leave the site immediately if they perceived it cluttered. Women are more likely than men to abandon the site. (Have lots of ads on the site and can’t figure out why people are abandoning, this might be a reason, time to do some testing) It is not only the publishers who are negatively affected by the ad clutter but also are the advertiser’s products and services. 52.4% respondents has a less favorable opinion o...

A survey by Ad Age asked consumers if they would be willing to pay $39.99/year or $29.99/year to make their favorite sites ad-free. 69% of them responded with a NO. 82% were unlikely to pay even $29.99/year. Yes, consumers are not willing to pay even $2.50 per month for using their favorite sites. It was not clear how many respondents were for this survey. It is possible that two price point, $39.99 and $29.99/year offered in this survey might be high. It is possible that there is price that consumer are willing to pay to use your site ad-free. You should do you own surveys and test if and what your customers are willing to pay for the subscription. Will you be willing to pay $1.00 per month to make your favorite site Ad-Free? Take a poll on the right side panel of this blog . Site: AnilBatra.com Twitter: http://www.twitter.com/anilbatra ---------------------------------------------------------------------------- Looking to fill your Web Analytics or Online Marketing position? Post yo...